The CBDT vide Notification No. 93/2015 dt. 16 Dec. 2015 has amended Rule 37BB of Income Tax, to reduce the burden of compliances by the taxpayers and ensure collection of information u/s 195 by Income Tax Deptt. Significant changes in Rule 37BB are listed below:
1. No Form 15CA and 15CB will be required to be furnished by an individual for remittance which do not requiring RBI approval under its Liberalised Remmittace Scheme (LRS);
2. Further the list of payments of specified nature mentioned in Rule 37BB which do not require submission of Forms 15CA and 15CB has been expanded from 28 to 33 items including payments for imports.
3. A CA certificate in Form No. 15CB will be required to be furnished only in respect of such payments made to non-residents which are chargeable to tax and the amount of payment during the year exceeds Rs. 5 lakh.
It may be noted that the above changes shall be effective from 1st April, 2016, i.e. the amended Rule 37BB will become applicable from 01.04.2016.